Days after the rule entered into force in January, the office was sued Netchoice And TechnetTwo trading groups represented by Big Tech. In addition to the challenge of the rule, the groups accused the CFPB of illegal to exceed their mandate and claimed that the rule was a “breathtaking assertion of their own jurisdiction”.
The indefinite break of the CFPB for writing new rules and regulations could also benefit Elon Musk, whose Get targets Add a so-called “all-app” that would also make payments. In January, X CEO Linda Yaccarino A announced Partnership with Visa Creating a digital wallet that can facilitate peer-to-peer payments.
“First of many great announcements about X Money this year,” she wrote. “(Let’s go damn it.)”
While Musk has not spoken publicly about these specific ambitions in recent months, he has indicated that reducing or eliminating the CFPB is a personal goal. He indicated this in November, shortly after clips with the venture capitalist and co -founder of PayPal with PayPal co -founder Marc Andreessen circulated on X.
On the show, Andreessen says that CFPB serves to “terrorize finance” and “prevent new competition”. React to a clip of it to x, Said Musk“Delete CFPB. There are too many double regulatory authorities. “
Vought’s order to Keep an immediate break for several active complaints last week.
On January 14th the CFPB Lament submitted For Capital One consumer, who claimed that the company deceptively marketed two almost identical savings accounts with very different interest rates, which led the agency’s claim that interest rates of $ 2 billion overload. A day later, It sued the operator of cash app For $ 175 million because the company had not adequately processed a number of customer complaints about non -authorized payments, and that this made it possible for them to expire from enormous amounts of money.
A lawsuit was already submitted in December Against Walmart and payment processing tool Branch Messenger. The CFPB claimed that the drivers received fees of 10 million US dollars when they tried to access their salary checks. In the same month the office sued The company that operates the cell– as well as banks JPmorgan Chase, Bank of America and Wells Fargo – to avoid implementing fraud locks or examining the customer’s complaints.
At the moment none of these lawsuits can proceed.
According to the former employee, these lawsuits usually go to court after a year or two. These investigations include the processing of complaints sent to the CFPB, as follows and receive internal documents through bourgeois investigative requirements, what is Similar to a summon. If he is successful, the court can order a company to change its practices to comply with the law.
“Bring these things to a conclusion to reverse consumers and to hold into account with civilian fines and sanctions against their managers – everything is now only a break,” they say.
When CFPB cases have been completed, you can lead to enforcement measures in which companies have to repay their consumers. In these cases, the CFPB is also responsible for pursuing the company and ensuring that they submit their deadlines and effectively enforce the decision.
